China’s record imports of platinum are being driven by several key factors that reflect shifts in consumer preferences, market dynamics, and supply constraints.
One major reason is the slump in gold jewelry sales in China. Gold prices have surged to record highs, making gold jewelry less affordable and less attractive to Chinese consumers who traditionally favor gold. In the first quarter of 2025, gold jewelry sales dropped sharply by nearly 27% compared to the previous year. This decline has pushed jewelers and fabricators to look for alternative precious metals that can appeal to buyers while keeping costs manageable. Platinum has emerged as a favored substitute because it is significantly cheaper than gold—about one-third of its price—while still offering a prestigious white-metal option for jewelry buyers.
Chinese jewelers are actively increasing their imports of platinum bars, coins, and raw materials as they try to revive their business amid falling demand for gold pieces. This shift is also supported by changing consumer tastes; younger Chinese consumers are showing more interest in modern designs featuring platinum rather than traditional yellow gold. As a result, China’s monthly platinum imports hit around 11.5 metric tons in April 2025—the highest monthly intake seen in over a year.
On top of this demand from the jewelry sector, investors in China are also buying more platinum as an alternative investment or safe haven asset amid volatile markets and high gold prices. Platinum’s relatively lower cost combined with its industrial uses makes it attractive not only for adornment but also for investment purposes.
The global supply side further amplifies this trend: there have been ongoing supply deficits with mining output declining mainly due to reduced production from South Africa—the largest producer—and lower recycling rates worldwide. These deficits tighten availability and push prices higher globally; platinum prices have risen about 40% year-to-date reaching levels near $1,265 per ounce recently.
Looking ahead, China’s appetite for platinum is expected to continue growing steadily over the next decade at a moderate pace both in volume and value terms due partly to sustained demand from jewelers adapting away from costly gold products along with investor interest.
In essence, what’s driving China’s record-breaking import surge of platinum is a combination of soaring gold prices discouraging traditional purchases; evolving consumer preferences favoring white metals like platinum; increased investor activity seeking alternatives amid economic uncertainties; plus constrained global supply tightening market availability—all converging into strong upward pressure on Chinese imports and global pricing alike.